Q&As

From 1 July 2021, in order to claim under the Coronavirus Job Retention Scheme (CJRS), does the employer have to keep paying the furloughed employee 80% of their usual wages (subject to the £2,500 cap), or can they pay them the amount of the reduced grant, ie 70% of wages subject to the £2,187.50 cap, without it affecting their ability to claim from HMRC?

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Published on LexisPSL on 06/07/2021

The following Employment Q&A provides comprehensive and up to date legal information covering:

  • From 1 July 2021, in order to claim under the Coronavirus Job Retention Scheme (CJRS), does the employer have to keep paying the furloughed employee 80% of their usual wages (subject to the £2,500 cap), or can they pay them the amount of the reduced grant, ie 70% of wages subject to the £2,187.50 cap, without it affecting their ability to claim from HMRC?

From 1 July 2021, in order to claim under the Coronavirus Job Retention Scheme (CJRS), does the employer have to keep paying the furloughed employee 80% of their usual wages (subject to the £2,500 cap), or can they pay them the amount of the reduced grant, ie 70% of wages subject to the £2,187.50 cap, without it affecting their ability to claim from HMRC?

The HMRC Policy paper: Changes to the Coronavirus Job Retention Scheme from July 2021 to which you refer states that, from 1 July 2021, the level of the Coronavirus Job Retention Scheme (CJRS) grant will be reduced and employers will be asked to contribute

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